Latest News:  
Beijing   Sleet/Light snow    1 / -2   City Forecast

People's Daily Online>>China Business

Chinese steel maker Shougang starts venture project in Malaysia

(Xinhua)

09:13, December 06, 2011

KEMAMAN, Malaysia, Dec. 5 (Xinhua) -- In a move to dominate Southeast Asia's steel industry, China's state-owned steel maker Shougang Group launched a project on Monday to build a 1.8 billion ringgit (574.25 million U.S. dollars) integrated steel mill in Malaysia through a joint venture with local steel maker Hiap Teck Venture Berhad.

The steel slab plant would be built on a 1,200-acre land in Kemaman, an industrial city in the country's East Coast economic development region that has moderate iron ore reserves.

The project, called Eastern Steel, is the largest Chinese foreign direct investment to date in Malaysia.

The steel plant is estimated to produce 1.5 million tonnes of steel slabs annually, though Eastern Steel was given a license to make five million tonnes of steel products per year.

Shougang, ranked 325 in global Fortune 500, holds 40 percent of the Eastern Steel project while Hiap Teck controls 55 percent of the stakes.

"Chinese steel industry is suffering from overcapacity and that is why we venture abroad," Hu Bin, the president of Shougang Group, told the press before the plant's groundbreaking ceremony on Monday.

"The ASEAN (Association of Southeast Asian Nations) is a huge and developing market. I think the bloc has great potentials and we are tapping into it via Malaysia," Hu said.


【1】 【2】

Email|Print|Comments(Editor:燕勐)

Leave your comment0 comments

  1. Name

  

Selections for you


  1. Scenery of Riyue Tan in SE China's Taiwan

  2. A France girl's life with Chinese kung fu

  3. Chinese warships begin goodwill visit to Oman

  4. National treasure collection exhibition

Most Popular

Opinions

  1. EU needs stronger economic and currency union
  2. U.S. immigration-eyed investment risky
  3. November inflation to ease in China
  4. China unlikely to end real estate controls
  5. Latin America integration
  6. US should adopt new thinking for GPA
  7. Obstacles to climate action
  8. More drama after ban
  9. No silver bullet to cure poverty
  10. Only diplomacy can resolve Iran-West row

What's happening in China

Case of worker's death remains unresolved

  1. Fake pregnant belly becomes hot seller online
  2. Metrological authorities deny heavy fog is pollution
  3. CCTV monitors govt office
  4. Coca-Cola's drink samples tested safe
  5. Authorities aim to end child begging

PD Online Data

  1. The lion dance in Guangzhou
  2. The flower fair in Guangzhou
  3. Lion dances pay New Year calls in Guilin
  4. Jiangsu´s special New Year traditions
  5. Hakka traditions in Spring Festival